This area is becoming more peaceful than it was in the past,
even during the 20th century. There are now no serious likely
occasions of international wars. All the existing international
disputes are likely to be resolved by peaceful means, even those
that occasionally break out, such as disputes between Ecuador
and Peru.

There are still guerrilla wars and areas of interior tension,
mainly a result of the extreme difference between rich and poor,
and therefore a lack of social solidarity (group feeling).

The Andean states of the continent are the major source of
the drug cocaine, a product of the Coca tree which grows in Bolivia,
Peru and Colombia. As the trade is illegal, this means that the
main source of wealth in several countries is not in the hands
of the state, or of legitimate business but goes to criminals,
and cannot be taxed.

The election of a number of "leftwing" presidents
in Bolivia, Venezuela and Brazil causes the United States to
be anxious in case they threaten US economic interests, such
as Bolivia's nationalising its oil and gas industry. The US may
try to destabilise these regimes, as it has done in the past.
They tend to be allied with Cuba.
However, the last attempt, in Venezuela
in 2002, to depose a regime unwanted in Washington failed. As
the demand for oil in competition
with China becomes more desperate there may be other attempts
but the suppliers will always be in a stronger position than
the buyers.